Stock Watch – Bharat Electronics – BEL

Bharat Electronics Limited (BEL) was established at Bangalore, India, by the Government of India under the Ministry of Defense in 1954 to meet the specialized electronic needs of the Indian defense services.

Positives..Prime play on defencebusiness which is not vulnerable to economic down-cycles..High profitability due to improved level of product sophistication..Strong balance sheet and robust cash generation..Cheap valuations and huge cash surplus (Rs.307 / share in FY08)